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Registrar's Decision

Registrar's Decision 10-013A

File Number: 10-013A

In the matter of THE MOTOR DEALER ACT R.S.B.C.1996 C.316
and THE BUSINESS PRACTICES AND CONSUMER PROTECTION ACT S.B.C. 2004 c.2

Complainant: REGISTRAR

Licensee/Unlicensed person:

KEY TRACK AUTO SALES & DETAILING LTD.

Issues:

  • Key Track applied for registration as a motor dealer.
  • Staff of the Authority was concerned about the apparent relationship between Key Track and Massive Truck Auto Sales.
  • Massive Truck, its owner and the salesperson were found to have misrepresented and sold an unsafe vehicle to a consumer; ordered to pay restitution to the consumer and Massive Truck was ordered to pay a $20,000 Administrative Penalty by the Registrar. These orders were filed in the B.C. Supreme Court and are deemed orders of that Court. Read More
  • Massive Truck has not yet fulfilled the requirements of the Registrar’s orders or the B.C. Supreme Court orders.
  • The declared owner of Key Track was the wife of the salesperson at Massive Truck and the sister-in-law of the owner of Massive Truck.
  • Staff at the Authority were concerned about the management of Key Track.

Outcome:

  • When considering issuing a licence, the Registrar may look behind the corporation, including its relationship to third parties, to determine the good faith of the application: Villetard’s Eggs Ltd. v. Canada [1995] 2 F.C. 581 (Federal Court of Appeal).
  • When considering past conduct, conduct is broadly defined to “include any act or omission or course of behaviour that affords reasonable grounds to believe that the business will not be carried on in accordance with law, honesty and integrity”: Prestige Toys Ltd. v. Ontario (Registrar, Motor Vehicle Dealers Act) 2009 CarswellOnt 4743 (Ont. S.C.J. (Div. Crt.))
  • It is not in the public interest to register a person who is not forthcoming and transparent on their application materials as doing so is an indicator of future conduct.
  • Key Track’s application was a colourable attempt to circumvent the Registrar’s and B.C. Supreme Court’s Orders against Massive Truck.
  • Key Track’s application materials withheld key information, which was only discovered after an inspection and investigation by the Authority. This is grounds enough to not register Key Track as a motor dealer.
  • Key Track’s application for registration as a motor dealer was refused.

Click here for the full decision (PDF)

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